Private investor appetite for Gold Coast City commercial property is on the rise, with developer the Robina Group posting more than $11 million in sales at its CityPods office precinct in CBDRobina over the past couple of months.
Five CityPods have been snapped up in this time by small private investors from South East Queensland and Northern New South Wales, including the latest sale which recently settled for $650,000.
The Robina Group General Manager Hylton Slater said private investors are attracted by CBDRobina’s record-low office vacancy rates, together with a $1 billion pipeline of development and infrastructure investment currently being injected into the area.
According to independent analyst, Urbis, CBDRobina has one of the lowest office vacancy rates in the nation at just 4.6 per cent – half the national average and well below every capital city CBD and Gold Coast City as a whole.
Private investor Dave Henderson, CityPods’ latest buyer, said his decision to take a stake in the precinct was a ‘no brainer,’ given Robina’s growth and the potential for solid ongoing returns.
“I was looking for an investment property so I trawled the internet and did my research, and decided that an office space with a tenant in place was a secure way to invest my money,” he said.
“I did the sums and the return on the investment stacked up – it will be above 8 per cent per annum which would be difficult to achieve with many other forms of investment in the current market.
“Having a tenant in place and signed for five years gives me peace of mind, and because Robina is such a sought-after area for businesses I’m confident that the investment will increase in value.”
Mr Slater said ‘Mum and Dad’ investors are now one of the fastest growing segments of the commercial property investment market in the Robina area.
“We have definitely seen an upturn in the number of private investors looking to secure commercial property – it’s become a real alternative to investing in residential property or shares,” he said.
“Many people are purchasing commercial properties through their self managed super funds as a way to diversify their assets, but there’s also a greater number of young professionals and Mum and Dad investors who are becoming more educated and sophisticated with their investment decisions.”
CityPods comprises 15 two-storey commercial spaces, ranging from 163sqm to 304sqm, and is already home to a range of businesses including digital marketing firm AMBS Solutions, GC Property Rentals, national medical device company Pyramed, Airport Consulting Group and property marketers Austra Group.
Two furnished displays are now open to inspect by appointment.
CityPods are priced from $645,000 and available for lease from $335/sqm pa. For further information, contact Marcus Weld at Robina Marketing Australia on 0414 726 207 or mweld@robina.com.au.
